Stock Futures Slip After Record Close as 10-Year Yield Nears 25-Year High Ahead of Fed Minutes

U.S. stock futures pointed to a lower open on Wednesday, easing back a day after the S&P 500 and the Nasdaq Composite closed at record highs, as rising Treasury yields and oil prices kept investors cautious ahead of Federal Reserve meeting minutes due later in the day.

Futures tied to the Nasdaq and the Dow Jones Industrial Average were down about 0.7% in morning trading, while S&P 500 futures slipped about 0.4%, according to Investopedia. An earlier snapshot from Reuters at 6:02 a.m. ET also showed all three indexes in negative territory.

Yields climb while investors wait on the Fed

The 10-year Treasury yield rose to 5.34%, up from 5.29% at Tuesday’s close and close to Monday’s peak of 5.35%, its highest level in nearly 25 years, according to Investopedia. Reuters reported that the 30-year Treasury yield reached its highest level since 2002, at 5.70%.

The moves came hours before the Federal Reserve is scheduled to release minutes at 2 p.m. ET from its September 15-16 meeting, when policymakers raised interest rates by 25 basis points, the first increase in three years. Traders put the chance of another increase at this month’s meeting at about one in five, according to CME FedWatch figures cited by Reuters and Investopedia, while a December increase remains widely expected. The discussion follows recent comments on whether further hikes depend on tariff, oil and AI price pressures fading or building.

Energy and currency markets reflected the same caution. U.S. crude futures traded around $90 a barrel, while Brent crude moved back above $100 a barrel amid Middle East supply concerns, according to Reuters. Gold futures fell about 1% to around $4,145 an ounce, and bitcoin traded near $83,600, down from a high just under $87,000 earlier this week, according to Investopedia.

Earnings and chip stocks in focus

Constellation Brands was among the morning’s notable movers. The maker of Modelo and Corona beers reported fiscal second-quarter sales of $2.63 billion, up 6% from a year earlier, and adjusted earnings of $3.74 a share, ahead of analyst expectations, according to Investopedia. Its shares still fell about 5% in premarket trading after beer depletions, a measure of sales to retailers, declined. Reuters reported a similar premarket drop after the company lowered its annual operating margin forecast.

Chip stocks that helped lift the indexes to records on Tuesday also pulled back, with Micron Technology and Marvell Technology lower in premarket trading, according to Reuters. Looking ahead, analysts expect S&P 500 earnings to grow 30.6% for the July-to-September quarter, led by energy and technology companies, according to LSEG data cited by Reuters, with major financial firms set to begin reporting next week.

Reporting based on coverage by Reuters and Investopedia.